Leeds Building Society has launched two cashback mortgages for energy efficient homes.
The society was among the first lenders to join the Green Finance Institute (GFI)’s Coalition for the Energy Efficiency of Buildings, and the mortgages, which will be launched on Friday 6 August, align with the Institute’s Green Home Finance Principles.
The mortgages have been designed for the purchase of homes with an energy efficiency rating of A to C, offering a 2-year fixed rate of 1.90% available up to 85% loan-to-value (LTV), and a 2-year fixed rate of 2.33% available up to 90% LTV.
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Each comes with £500 cashback on completion, a free standard valuation and a £999 fee, and are available initially only through intermediaries.
Matt Bartle, director of products at Leeds Building Society, said: “We’re really pleased to be one of the first building societies to sign up to the Green Home Finance Principles created by the Green Finance Institute, as part of our responsible business strategy.
“For almost a century and a half we’ve been moving with the times as our members’ needs have changed and I’m proud we’re able to demonstrate our values by making a direct link between our products and positive environmental action.
“The society is making good progress against the challenging targets we’ve set ourselves to reduce our own carbon footprint, helped by our move to a new head office we refurbished to upgrade its EPC (Energy Performance Certificate) rating from D to A.
“As well as being the right thing to do for the planet, ensuring your home is as energy efficient as possible can save money longer term and we’re looking at more ways to share our knowledge and support our members as they look to reduce their environmental impact.”
Emma Harvey, director of the Green Finance Institute, added: “We are delighted to see Leeds Building Society, a valued member of our Coalition for the Energy Efficiency of Buildings, supporting the growth of the green mortgage market with these new products, which tap into increasing consumer awareness of the need to decarbonise our homes.”